Xi Jinping warns Fed against hiking interest rates Chinese President at Davos to Fed Chair Jerome Powell please dont lift interest rates. If major economies slam on the brakes or take a U-turn in their monetary policies, there would be serious negative spillovers. They would present challenges to global economic and financial stability, and developing countries would bear the brunt of it, said Xi. Of the major central banks, the Fed is expected to be the most aggressive, with financial markets now pricing in four rate hikes. Traditionally, Fed officials brush off concerns about how their policies impact other economies, saying they can only set policy for the U.S. economy.